G6 quiz

When can an application for a life agent license be denied without a hearing?

The applicant has had an application for a license previously denied within 5 years for cause

An agents appointment with an insurer will be discontinued if any of the following circumstances exist, except

another insurer submits an employment application not: agent insurance license expire, insurer file notice to terminate appointment, agent quit working for insurer

All of the following are valid reasons for the Insurance Commissioner to deny the applicant for an insurance license except

applicant does not have a CA business address Not: lack integrity, does not have good business reputation, not properly qualified to perform duties

When an insurer or employing Property and Casualty broker or agent files a notice of appointment of an original license on behalf of an applicant, that entity has made a declaration that such applicant is worthy of that license.

true

Ben is life-only agent who want to do business with Rock Solid Insurance Company but he doesn't have an appointment to sell their policies. Can Ben submit an application to them from a prospect?

Yes, and if the insurer approves the application they must appoint Ben within 14 days

Life insurers are required to maintain records on policies they have sold for how long?

5 years

The only circumstance, by which a name can always be approved, is it if is a true corporate name

False: an agents real name can be used without getting approval

When any change in residence occurs, every license and every applicant for a license must notify the Commissioner

Immediately

Professional liability insurance that an agent should purchase is Errors & Omissions coverage. Which statement concerning this insurance is correct?

It would cover an agent who creates a financial loss by forgetting to renew a policy - a negligent act

A life-only agent may:

Submit an application to a life insurance company even thought they don't have an appointment on file for him/her

On which of the following dates does the authority given to a licensee from an insurer to transact insurance become effective?

The date the insurer signs the Notice of Appointment

When does the license of a life agent become inactive?

When the agent is not currently appointed by an insurer, but renewal fees are paid and continuing education requirements have been met

When must insurance records for insurance agents and insurance brokers be made available to the Insurance Commissioner?

at all times

A judgment against an applicant who entered a plea of bolo contender is considered to be

convicted

An E&O policy will protect an agency from bad debts resulting from insureds not paying premiums for which an agent has loaned the insured the funds

false

Any agency name used by life producers who have earned the CLU designation are automatically approved by the Department in recognition of this special title

false: producers can use the CLU after their name but it does not allow them special privileges

E & O coverage is issued in a standard form determined by state law.

false; the state does not determine E&O coverage. Insurance carrier determines what is covered in the policy, no standard form

Mary has a restricted license. This means she

may have license revoked or suspended w/o a hearing

A life agent's records must include all except

printed material in general use which has been distributed by insurer need: all correspondence between agent and policy holder, copy of outline of coverage, all policies sold by agent

in california

providing free insurance coverage in connection with the sale of services as an inducement for completing the transaction is not legal